Do EU trade policies help or hurt developing countries Essay

Do EU trade policies help or hurt maturation countries - Essay congresswomanBy 2002, EC was already in more than 50 out of about 172 such arrangements around the globe thus maintain economic and trade relations with a myriad of economies in the developed, developing and even less developed economies. The EU has been keen as a positive force to come economic prosperity for its member states.To the developing economies, EC has maintained preferential trade arrangements under the generalised System of Preferences (GSP) while to most less developed countries, trade arrangements have largely been guided by the Cotonou Agreement, which succeeded the Lome Convention (Bhagwati, Greenaway, & Panagariya, 1998, p.1128-1148). EUs trade arrangement within the Euro zone encompasses a rough-cut currency, common external tariff, common agricultural and competition policies as well as common rules on freedom of goods and services, capital and people. EU has entered into other trade agreements wi th countries and regions in other continents of the world. Among these is the European Economic world (EEA) that extends the EU market to three countries, which argon members of the EFTA . Another arrangement is the Customs Unions with countries such as Malta, Cyprus and Turkey. EU has also got several Free Trade Area (FTA) arrangements with a number of countries and regions around the world, but these atomic number 18 at different implementation levels. These include countries such as Tunisia, Egypt, Israel, and Morocco under the Euro-Mediterranean Association, while Denmark, Switzerland, Iceland, Mexico and Chile are under the FTA arrangement among others. There is also the Mediterranean partnership where EU relates with several associates in the gray and Eastern Mediterranean. This particular trade arrangement aims to achieve FTA in line with provisions of the WTO through entrance into various bilateral agreements starting with a series of association agreements. It also aime d at the expansion of the EU financial assistance to USD 4.7 billion over a period of 5 years from 1995 within EU-Mediterranean partnership. The ACP (Africa, Caribbean and Pacific) mouthful is another set of trade arrangements by the EU where it provides one way trade preferences for more than seventy countries in Africa, Caribbean and Pacific. These preferences are, however, not available to both developed countries in these regions and do not also yield to only least developed economies, for example. Thus, contravene the provision of the WTO regarding discriminatory practices, equity and fairness (Devisscher, 2011, p. 60). As per the join Nations rankings, 39 of the ACP economies are under the least developed category. Finally, GSP preferences by EU to a number of least developed countries exist as stipulated under the GSP provisions of the WTO. The EUs GSP arrangement contains the Everything but blazonry (EBA) initiative for the least developed economies as well as general a rrangements that are available to all developing countries and apply to non-sensitive products that come duty free. There are also the special arrangements under the environmental and Social clauses, which apply to sensitive products only. Special incentives under the environmental clause apply to developing countr